Both RE on Wii were very good.

I think the simple fact that you "can't control" your character throws people off nowadays. I mean if you get a guy who plays CoD and then make him play Sin & Punishment for example, I'm pretty sure he's going to hate the latter.

Aside from RE: Umbrella Chronicles, I can't think of any recent on-rail shooter that has sold really well, and that's what throws developers from making these type of games imo, the market who liked these games either disappeared or moved on to other shooters.

rail shooters take away an element of freedom (movement).

..as console gamers we are the expert gamers. the long time gamers. the experienced gamers. the hardcore gamers. the gamers that will pay a large premium ($60 vs. free) for more in depth experiences than what you would find on the "casual" platforms like IOs.

rail shooters are simply beneath much us like angry birds, cut the rope, and candy crush. a simple experience for those that lack the skillz to handle a game with true depth.

My only issue is how some of them are designed to be quarter munchers. Played one of the House of the Dead at an arcade, and it was brutal at time, especially near the end. Thank goodness had infinite continues with one of those all day cards or would have cost me and my friend quite a bit (estimate $30 each or 60 lives each to beat it).

Why would anyone like such a restrictive game?

I'd like to add that Star Fox and Star Fox 64 are on-rails shooters, yet they are tons of fun. Don't judge a book by its  cover.

On rails shooters were awesome on Wii...
i hope they release some of them on WiiU too using both the Wiimote and the gamepad perhaps?